Chandigarh, 17 October 2026: Regency Fincorp Limited, a non-banking financial company (NBFC) focused on providing accessible and customer centric financial solutions has received an approval from the board of ₹312.15 crore through the preferential issuance of equity shares and warrants convertible into equity shares, subject to shareholder and other applicable approvals.
The proposed issuance comprises 1,42,66,412 equity shares at ₹50.50 per share with a face value of ₹10 per share, aggregating ~₹72.05 crore, and 4,75,46,030 convertible warrants at ₹50.50 per warrant, aggregating ~₹240.11 crore. Each warrant will be convertible into one equity share within 18 months from the date of allotment, subject to applicable terms and conditions.
The proposed fundraise is intended to support the expansion through strategic acquisitions and strengthen its digital lending platform capabilities. The Company has earmarked up to ~₹125 crore for acquiring a company with a digital lending platform within 1 year and up to ~₹75 crore for acquiring a company with a gold loan business, within 6 months. A further ~₹65 crore is proposed to be deployed towards onward lending for MSME loans over two years, while ~₹47.15 crore is allocated for general corporate purposes over the same period.
Post the fund raise the share capital is expected to increase to ₹152 crore in a phased manner. The proposed preferential issue includes 61 proposed allottees for equity shares and 56 proposed allottees for convertible warrants, across promoter and public categories. The proposed fundraise will not affect the promoters’ shareholding, as fresh capital has been infused by the promoters.
Commenting on the development, Mr. Sarfaraz Mallick, Co-founder and Chief Financial Officer, Regency Fincorp Limited, said, “The proposed fundraise of approximately ₹312.15 crore marks an important step in Regency Fincorp’s growth journey. It is intended to strengthen our capital base and support our strategic priorities, including the proposed acquisitions of a company with a digital lending platform and a company with an established gold loan business, alongside continued support for our MSME lending operations. We believe these opportunities can help us diversify our lending portfolio, expand our business scale and strengthen our revenue-generating capabilities. By combining our existing strengths with new lending capabilities and technology-led opportunities, we aim to build a more diversified and scalable financial services business. We remain focused on disciplined capital allocation, responsible growth and creating sustainable long-term value for our stakeholders. The proposed fundraise and acquisitions remain subject to the requisite approvals and applicable regulatory requirements.”
